Answered

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Units of production data for the two departments of Pacific Cable and Wire Company for November of the current fiscal year are as follows:

Drawing Department Winding Department
Work in process, November 1 5,000 units, 40% completed 3,200 units, 80% completed
Completed and transferred to next
processing department during November 95,000 units 95,100 units
Work in process, November 30 6,200 units, 60% completed 3,100 units, 15% completed

Required:
If all direct materials are placed in process at the beginning of production, determine the direct materials and conversion equivalent units of production for November for the Drawing Department.

Sagot :

Answer and Explanation:

The computation of the equivalent units for direct material and conversion is shown below:

Particulars                         Total units         Direct materials          Conversion

Inventory in process,

November 1                          5000                0                                 3000

Started and

completed in November       90000           90000                     90000

Transferred to Winding

Department in November     95000             90000                     93000

Inventory in process,

November 30                        6200                 6200                       3720

Total                                      101200               96200                   96720

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